Pakistan Set to Receive $20 Billion Loan from World Bank for Key Sector Improvements

Islamabad:Pakistan is likely to receive a $20 billion loan from the World Bank over the next 10 years, with the approval expected at the World Bank’s Board of Directors meeting on January 14.

According to media reports, the World Bank is set to provide this financial assistance to Pakistan to support improvements in crucial sectors such as health, education, and climate change, among others. The Bank has already completed the necessary consultations for this initiative.

The Ministry of Economic Affairs revealed that this loan will be granted as part of the **Country Partnership Framework 2025-2035**, which will focus on promoting sustainable economic growth in the country.

The report further states that the approval for the loan is expected to be granted during the World Bank Board of Directors’ meeting on January 14. Following the approval, **Martin Raiser**, the Vice President of the World Bank, will visit Islamabad to discuss the loan program and its implementation with Pakistani authorities.

This loan program is designed to assist Pakistan in addressing key challenges such as health, education, and climate change, and is part of a broader set of initiatives by the World Bank aimed at supporting Pakistan. The program will focus on ensuring the long-term stability of sectoral structures in the country, with specific goals set for the next 10 years to improve various sectors that have been largely overlooked in recent years.

According to the report, the loan program will be insulated from political changes to ensure that the projects can move forward smoothly without any interruptions.

In addition to the $20 billion loan, the World Bank’s two subsidiary institutions are also expected to assist Pakistan in securing an additional $20 billion in private loans, bringing the total financial package to $40 billion. This amount will be allocated for infrastructure development, climate change-related projects, and improvements in social services.

The report also mentioned that the government has launched the **National Economic Transformation Plan** to achieve economic recovery. The plan aims to double the GDP growth rate and reduce the poverty level by half within a five-year period.

Under the supervision of the **Special Investment Facilitation Council (SIFC)**, Pakistan plans to bring in an expected investment of $29 billion, which includes $10 billion from the UAE, $5 billion from Saudi Arabia, $2 billion from Qatar, $2 billion from Azerbaijan, and $10 billion from Kuwait.